Mortgage lender LIC Housing Finance raised the home loan rate by 35 basis points, joining peers in the industry.
The minimum interest rate for the best-rated borrower will be raised to 8.65 percent as a result of the move, which comes a week after a similar increase by larger rival HDFC.
The company said in a statement that the interest rate on its loans is linked to the LIC Housing Prime Lending Rate (LHPLR), which has gone up by 0.35 percent.
Y Viswanatha Gowd, the managing director and chief executive of the company, stated, “The increase in rates is in tune with the market conditions.”
He added that there is great food in the home-purchasing movement in the land area as of now.
Since May of this year, the Reserve Bank has raised the repo rate—the rate at which it lends money to the system—in five separate moves by a total of 2.25 percent. The system’s lenders have responded to the RBI’s affected hikes.
